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<bill bill-stage="Introduced-in-Senate" dms-id="A1" public-private="public" slc-id="S1-LYN23660-MX6-7K-90J"><metadata xmlns:dc="http://purl.org/dc/elements/1.1/">
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<dc:title>118 S3161 IS: Promoting Real-time Information on Cost Expenditure Act</dc:title>
<dc:publisher>U.S. Senate</dc:publisher>
<dc:date>2023-10-30</dc:date>
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<dc:language>EN</dc:language>
<dc:rights>Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.</dc:rights>
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<distribution-code display="yes">II</distribution-code><congress>118th CONGRESS</congress><session>1st Session</session><legis-num>S. 3161</legis-num><current-chamber>IN THE SENATE OF THE UNITED STATES</current-chamber><action><action-date date="20231030">October 30, 2023</action-date><action-desc><sponsor name-id="S409">Mr. Luján</sponsor> introduced the following bill; which was read twice and referred to the <committee-name committee-id="SSCM00">Committee on Commerce, Science, and Transportation</committee-name></action-desc></action><legis-type>A BILL</legis-type><official-title>To require third-party delivery platforms to follow certain pricing practices, and for other purposes.</official-title></form><legis-body><section id="S1" section-type="section-one"><enum>1.</enum><header>Short title</header><text display-inline="no-display-inline">This Act may be cited as the <quote><short-title>Promoting Real-time Information on Cost Expenditure Act</short-title></quote> or the <quote><short-title>PRICE Act</short-title></quote>.</text></section><section commented="no" display-inline="no-display-inline" id="id8190e869e94549b9a70fb34ec3aebe8e"><enum>2.</enum><header>Definitions</header><text display-inline="no-display-inline">In this Act:</text><paragraph commented="no" display-inline="no-display-inline" id="idc62c9570a98c4bd1a50c476d131bbbe3"><enum>(1)</enum><header>Commission</header><text>The term <term>Commission</term> means the Federal Trade Commission.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id0d341e450bc74324a953030028772b61"><enum>(2)</enum><header>Delivery fee</header><text display-inline="yes-display-inline">The term <term>delivery fee</term> means any fee imposed by a third-party delivery platform on a user of the platform with respect to an order placed through the platform of items from a retail establishment that is in addition to any charge that the retail establishment would impose on the sale of the same items if they were purchased by an individual who is physically present in such establishment. In the case of a retail establishment that does not offer items for sale to individuals who are physically present in such establishment, such term shall include any fee imposed by a third-party delivery platform that is in addition to the menu or retail price for the items ordered.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id6b69d38b0ea74ff5836327412d4ec222"><enum>(3)</enum><header>Retail establishment</header><text display-inline="yes-display-inline">The term <term>retail establishment</term> means a physical establishment (including a restaurant) where items (including food, beverages, or other goods) are offered for sale to individuals who— </text><subparagraph commented="no" display-inline="no-display-inline" id="id744d1cbe8b6d4caa92f39ce690d0c8f7"><enum>(A)</enum><text display-inline="yes-display-inline">are physically present in such establishment; or</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4ec8df3e10c044acaf746b5bb10fa2ff"><enum>(B)</enum><text display-inline="yes-display-inline">place orders through a third-party delivery platform.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id03bba500370f4001bf982e9c606eb156"><enum>(4)</enum><header display-inline="yes-display-inline">Third-party delivery platform</header><text>The term <term>third-party delivery platform</term> means any website, mobile application, or other internet service that— </text><subparagraph commented="no" display-inline="no-display-inline" id="id626375b13e954af990056aa35eed8936"><enum>(A)</enum><text display-inline="yes-display-inline">as its primary function, offers or arranges for the sale and same-day delivery of items (including food beverages, or other goods) from a retail establishment; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id4b22e140db3d4f3db5e5f7b05bd6ac72"><enum>(B)</enum><text display-inline="yes-display-inline">is not owned by, under common ownership with, operated by, or a subsidiary of the retail establishment.</text></subparagraph></paragraph></section><section commented="no" display-inline="no-display-inline" section-type="subsequent-section" id="id3076ddae512848f7b7fc7101172e8d42"><enum>3.</enum><header>Pricing requirements for third-party delivery platforms</header><subsection commented="no" display-inline="no-display-inline" id="ida115fa47dd4042fe843f36ccd74c0e3a"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text>Beginning 90 days after the date of enactment of this Act, it shall be unlawful to operate a third-party delivery platform unless such platform satisfies the requirements described in subsection (b).</text></subsection><subsection commented="no" display-inline="no-display-inline" id="id1ec975f7820a4179bf584159b21ae9e5"><enum>(b)</enum><header>Pricing requirements</header><text>The requirements described in this subsection, with respect to a third-party delivery platform, are the following:</text><paragraph commented="no" display-inline="no-display-inline" id="idcfde92833f604f4c91078e50929a5ab8"><enum>(1)</enum><text>If the third-party delivery platform charges 1 or more delivery fees for an order from a retail establishment, any such delivery fee shall be— </text><subparagraph commented="no" display-inline="no-display-inline" id="id7a2ac03714314c959a40ebef873781a8"><enum>(A)</enum><text display-inline="yes-display-inline">calculated using a methodology that is determined no later than the time the user placing the order selects the retail establishment and may not change once the user has begun their order from the retail establishment; and</text></subparagraph><subparagraph id="id5ef738528a88464cac8fd77ee9cd3691"><enum>(B)</enum><text>based solely on— </text><clause commented="no" display-inline="no-display-inline" id="id093e24a9da1c4807ab9acd36ffab3ab7"><enum>(i)</enum><text display-inline="yes-display-inline">the total price charged by the retail establishment for items ordered by the user, excluding any taxes and any fees imposed by the third-party delivery platform; and </text></clause><clause commented="no" display-inline="no-display-inline" id="idf481c983a4924f19aa1699ae419801ed"><enum>(ii)</enum><text display-inline="yes-display-inline">other factors related to the delivery of the items ordered from the retail establishment, including the delivery distance, but excluding— </text><subclause commented="no" display-inline="no-display-inline" id="id303752734ed8466898fd58c53da924f8"><enum>(I)</enum><text display-inline="yes-display-inline">any other factor related to the user who placed the order; and</text></subclause><subclause commented="no" display-inline="no-display-inline" id="id1f7186b81ce44cc28589888e271e71db"><enum>(II)</enum><text display-inline="yes-display-inline">any factor related to an arrangement negotiated between the third-party delivery platform and the retail establishment.</text></subclause></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id908a33b2ee8b4c9f9bcd9d52a7f97f99"><enum>(2)</enum><text>Whenever a user selects an item to order from a retail establishment through the third-party delivery platform, the third-party delivery platform shall prominently display— </text><subparagraph commented="no" display-inline="no-display-inline" id="idd670d1b231c14a66a05037053177768f"><enum>(A)</enum><text display-inline="yes-display-inline">the price charged by the retail establishment for such item, excluding any taxes; and</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id280fb734728d49d08338d8ce6cd3fd00"><enum>(B)</enum><text>if applicable, any delivery fees imposed with respect to such item by the third-party delivery platform.</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id8870bd2c50af48bcbe62e7d534a63414"><enum>(3)</enum><text display-inline="yes-display-inline">Throughout the ordering process, the third-party delivery platform shall prominently display the ongoing total amount to be charged to the user for the order that includes every item and service that the user has selected up to that point. Such total amount shall include the cost of each item selected, applicable taxes, and any applicable fees.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="idf0fe812c0b5144559b83d6fc6d2dcc77"><enum>(4)</enum><text>Prior to requesting payment for an order, the third-party delivery platform shall provide the user with an explanation, in a clear, conspicuous, and not misleading manner, of each delivery fee imposed on the user by the platform and what the fee is for. Such explanation shall include the amount of the delivery fee, the item or service that the delivery fee relates to, whether the delivery fee is refundable, and such other information as the Commission may specify.</text></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idf391431ee7384eb883f32192a876dba9"><enum>(c)</enum><header>Rule of construction regarding gratuities</header><text>Nothing in this section shall be construed to prevent a third-party delivery platform from allowing a user to add a gratuity to their order.</text></subsection></section><section commented="no" display-inline="no-display-inline" section-type="subsequent-section" id="id4085a05695854c0c86ff6aade67482cb"><enum>4.</enum><header>Enforcement</header><subsection commented="no" display-inline="no-display-inline" id="idf42d8512bfac47d9be339ec654cbe538"><enum>(a)</enum><header display-inline="yes-display-inline">Enforcement by the Federal Trade Commission</header><paragraph id="id3f0238be3371459d82c1a75b8c05b7f1"><enum>(1)</enum><header>Unfair and deceptive acts or practices</header><text>A violation of this Act shall be treated as a violation of a rule defining an unfair or deceptive act or practice prescribed under section 18(a)(1)(B) of the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/57a">15 U.S.C. 57a(a)(1)(B)</external-xref>).</text></paragraph><paragraph id="id4144182244b2412a88880071031afa40"><enum>(2)</enum><header>Powers of the Commission</header><subparagraph id="id379de29a88ea420f89bacbb1f903b227"><enum>(A)</enum><header>In general</header><text>The Commission shall enforce this Act in the same manner, by the same means, and with the same jurisdiction, powers, and duties as though all applicable terms and provisions of the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/41">15 U.S.C. 41 et seq.</external-xref>) were incorporated into and made a part of this Act.</text></subparagraph><subparagraph id="id5b5888154cb744cda102a305d46fd009"><enum>(B)</enum><header>Privileges and immunities</header><text>Any person that violates this Act shall be subject to the penalties, and entitled to the privileges and immunities, provided in the Federal Trade Commission Act (<external-xref legal-doc="usc" parsable-cite="usc/15/41">15 U.S.C. 41 et seq.</external-xref>).</text></subparagraph><subparagraph id="id85279fab210e48c1a73e4188a4bf872d" commented="no"><enum>(C)</enum><header>Regulations</header><text>The Commission shall, pursuant to section 553 of title 5, United States Code promulgate such regulations as the Commission determines necessary to carry out the provisions of this Act.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idc2446da26e134d0bbb75a0acf111bf5a"><enum>(D)</enum><header>Authority preserved</header><text>Nothing in this Act shall be construed to limit the authority of the Commission under any other provision of law.</text></subparagraph></paragraph></subsection><subsection id="ida91d6e4c60874a60b4b2ba61d729796f"><enum>(b)</enum><header>Enforcement by State attorneys general</header><paragraph id="idc8d5954205ba47049ac1a8a6335fa6db"><enum>(1)</enum><header>In general</header><subparagraph id="id37e8d13f2419403a8d73fe2805a48e42"><enum>(A)</enum><header>Civil actions</header><text>In any case in which the attorney general of a State has reason to believe that an interest of the residents of that State has been or is threatened or adversely affected by the engagement of any person in a practice that violates this Act, the State, as parens patriae, may bring a civil action on behalf of the residents of the State in a district court of the United States or a State court of appropriate jurisdiction to—</text><clause id="id44ab3f0298f64196a4ea49ddeb2fd926"><enum>(i)</enum><text>enjoin that practice;</text></clause><clause id="idc9912a5059bf49159c6cff7fd1aa27fa"><enum>(ii)</enum><text>enforce compliance with this Act or such regulation;</text></clause><clause id="id21d41d886f434d2c8d52e534d656ca94"><enum>(iii)</enum><text>on behalf of residents of the State, obtain damages, restitution, or other compensation, each of which shall be distributed in accordance with State law; or</text></clause><clause id="id2750765d79f449cd9cc5f27bad62620a"><enum>(iv)</enum><text>obtain such other relief as the court may consider to be appropriate.</text></clause></subparagraph><subparagraph id="id2682014bd1b548e0b5701820608f3c63"><enum>(B)</enum><header>Notice</header><clause id="idda75b1c2b34646c09d124f325281d521"><enum>(i)</enum><header>In general</header><text>Before filing an action under subparagraph (A), the attorney general of the State involved shall provide to the Commission—</text><subclause id="ida0a50d7af29d4a929e2df4074096458d"><enum>(I)</enum><text>written notice of that action; and</text></subclause><subclause id="idda28830a11aa4b57a5537fa94d6cbd6b"><enum>(II)</enum><text>a copy of the complaint for that action.</text></subclause></clause><clause id="ide9d5d82dd5124d5f826eca456d74a081"><enum>(ii)</enum><header>Exemption</header><subclause id="id3a5a96ad65c440d7867ec87bc54d0f59"><enum>(I)</enum><header>In general</header><text>Clause (i) shall not apply with respect to the filing of an action by an attorney general of a State under this paragraph if the attorney general of the State determines that it is not feasible to provide the notice described in that clause before the filing of the action.</text></subclause><subclause id="idbcdc38fbf50d4a4a987b91da8cc369c4"><enum>(II)</enum><header>Notification</header><text>In an action described in subclause (I), the attorney general of a State shall provide notice and a copy of the complaint to the Commission at the same time as the attorney general files the action.</text></subclause></clause></subparagraph></paragraph><paragraph id="id2ed88472ceb041b798f8f00b86d3255b"><enum>(2)</enum><header>Intervention</header><subparagraph id="id42e82d9d2a314a54a43307cb3622f824"><enum>(A)</enum><header>In general</header><text>On receiving notice under paragraph (1)(B), the Commission shall have the right to intervene in the action that is the subject of the notice.</text></subparagraph><subparagraph id="id85015dc4dcb44b1fa75b76b37d4ecfdd"><enum>(B)</enum><header>Effect of intervention</header><text>If the Commission intervenes in an action under paragraph (1), it shall have the right—</text><clause id="idaf57667d708947e997c3326571d6d2d9"><enum>(i)</enum><text>to be heard with respect to any matter that arises in that action; and</text></clause><clause id="id1231c54fc9dc4d5a83355a0c54be7512"><enum>(ii)</enum><text>to file a petition for appeal.</text></clause></subparagraph></paragraph><paragraph id="idc26f9c3b92d947c6abdfc13af9cffe8b"><enum>(3)</enum><header>Construction</header><text>For purposes of bringing any civil action under paragraph (1), nothing in this Act shall be construed to prevent an attorney general of a State from exercising the powers conferred on the attorney general by the laws of that State to—</text><subparagraph id="idb1994989684747c8a6f93c7bd06f2b37"><enum>(A)</enum><text>conduct investigations;</text></subparagraph><subparagraph id="idbba6bce5797b4217ae7811115d40c76e"><enum>(B)</enum><text>administer oaths or affirmations; or</text></subparagraph><subparagraph id="id4933e3668eea4853953b9c5706a3bc1f"><enum>(C)</enum><text>compel the attendance of witnesses or the production of documentary and other evidence.</text></subparagraph></paragraph><paragraph id="id4d1cd17a0b7846c98fbe5371d22f1d1f"><enum>(4)</enum><header>Actions by the commission</header><text>In any case in which an action is instituted by or on behalf of the Commission for violation of this Act, no State may, during the pendency of that action, institute a separate action under paragraph (1) against any defendant named in the complaint in the action instituted by or on behalf of the Commission for that violation.</text></paragraph><paragraph id="id319d1fa2fda04ae39922a12583815386"><enum>(5)</enum><header>Venue; service of process</header><subparagraph id="id0243e2ea91ce491f80ad80da52c6aaf0"><enum>(A)</enum><header>Venue</header><text>Any action brought under paragraph (1) may be brought in—</text><clause id="ida19161baa6314178a16cb514c6c2ad97"><enum>(i)</enum><text>the district court of the United States that meets applicable requirements relating to venue under section 1391 of title 28, United States Code; or</text></clause><clause id="idfa8a822ca24a49268117dfae0d983474"><enum>(ii)</enum><text>a State court of competent jurisdiction.</text></clause></subparagraph><subparagraph id="id022f75c343554160ab470228a7abbe15"><enum>(B)</enum><header>Service of process</header><text>In an action brought under paragraph (1) in a district court of the United States, process may be served wherever defendant—</text><clause id="id182e5139eb804f5eb423207ae846b731"><enum>(i)</enum><text>is an inhabitant; or</text></clause><clause id="id0a5d5af3272d41d48c22269cde1bfbf5"><enum>(ii)</enum><text>may be found.</text></clause></subparagraph></paragraph></subsection></section></legis-body></bill> 

